Facebook Is On a Shopping Spree

Updated
Facebook Is On a Shopping Spree

A couple days ago, social networking giant Facebook annouced that it would be acquiring Oculus, a small company that has been developing an exciting new immersive virtual reality platform, in a deal worth $2 billion. Of that, $400 million will be in cash, and the rest will be in Facebook stock.

In this segment from Friday's Tech Teardown, host Erin Kennedy and Motley Fool tech and telecom bureau chief Evan Niu take a close look at the acquisition, and look at some of the possible ideas for why this niche gamer technology would be interesting to the world's largest social network, as well as how dilutive Facebook's recent acquisitions using stock have been for shareholders.

Are you ready for this $14.4 trillion revolution?
Let's face it, just like Facebook is aiming to do here with Oculus VR, every investor wants to get in on revolutionary ideas before they hit it big. Like buying PC-maker Dell in the late 1980s, before the consumer computing boom. Or purchasing stock in e-commerce pioneer Amazon.com in the late 1990s, when it was nothing more than an upstart online bookstore. The problem is, most investors don't understand the key to investing in hyper-growth markets. The real trick is to find a small-cap "pure-play" and then watch as it grows in EXPLOSIVE lockstep with its industry. Our expert team of equity analysts has identified one stock that's poised to produce rocket-ship returns with the next $14.4 TRILLION industry. Click here to get the full story in this eye-opening report.


The article Facebook Is On a Shopping Spree originally appeared on Fool.com.

Erin Kennedy has no position in any stocks mentioned. Evan Niu, CFA has the following options: short January 2015 $60 puts on Facebook and long January 2015 $35 puts on Facebook. The Motley Fool recommends Facebook and Google. The Motley Fool owns shares of Facebook and Google. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement